trading halt, page-55

Agree on the topic of risk profile - burning syngas for power will be much much easier than converting "dirty" syngas to clean liquid fuels. However, you will also find very different NPV for these projects - so liquids looks very attractive economically at today's oil price - or even at half todays oil price in fact.

I don't think the 40MW power station has a significant NPV. In fact the shares trade above the NPV of this power station already!!! So the sentiment expects this to be successful so we can get onto bigger projects. At the end of the day bigger is better in this business simply because the the engineering and operating effort for a small project is about the same as a big one and the payback can be highly geared to the bigger project (ie payback is nonlinear with size depending on the project setup). So personally while I understand the sentiment behind the small scale distributed power idea, I think its the wrong way to go. Profits will not be that great. However, you ned to start small so a step-wise approach is good.